OECD and emerging economies ‘spend $200bn a year in fossil fuels’

OECD countries and key emerging economies spend up to $200 billion (£130bn) annually in fossil fuels. That’s according to a new report by the Organisation for Economic Co-operation and Development […]

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By Jacqueline Echevarria

OECD countries and key emerging economies spend up to $200 billion (£130bn) annually in fossil fuels.

That’s according to a new report by the Organisation for Economic Co-operation and Development (OECD).

It stated the economic support in coal is hampering global efforts to tackle climate change.

The report studied almost 800 spending programmes and tax breaks used by governments of 34 member countries as well as Brazil, China, India, Indonesia, Russia and South Africa.

They spend money supporting the production and consumption of coal by reducing prices for consumers.

They also lower exploration costs for oil and gas companies.

Angel Gurría, OECD Secretary-General said: “Governments are spending almost twice as much money supporting fossil fuels as is needed to meet the climate-finance objectives set by the international community, which call for mobilising $100 billion (£65bn) a year by 2020.”

UK councils invested £14 billion of their pension funds in fossil fuels, according to data released by 350.org.